Utilities

been working out Utilities: https://bartscharts.com/2019/06/08/utilities-again-ugh/

honestly, the strength is palpable and, knowing how much I trust measured moves, was somewhat ‘surprised’ at the lack of respect the Utility sector gave to the ‘math’ and PATTERNS.

so, were at a juncture, again. see the chart below … I did the “how to use what you learned in kindergarten to draw circles and one could make the case that they are not ‘parabolic’ yet.

as you can see, the blue arrows show a symmetrical 3 drives to a top w/ both price and time confluence. reacted a little and then blew right thru it .. failed pattern. now we see a 3 drives and a doomed house pattern … also, did some measured move math and we have the square root of 5 and the square root of 8 present at the high. that’s the math for the resistance ….

a weekly close below the 3rd high in/around 778 is key that we have reached an important high for now.

that being said, this is an important sector to watch for now.

here’s a peak at XLU – ETF for utilities.

Utilities – again, ugh

If you’ve been following me, I saw a very nice SELL PRICE and TIME PATTERN on the Utilities. It worked for a while and then failed as the Utilities continued to climb. I was stopped out of the TBT long I tried and, while not exactly correlated, you can sometimes look at the Utilities and Rates. Figured w/ the SELL PATTERN coming on the Utilities then the TBT should go up. They failed. Back to the drawing board.

so, with fresh eyes, again, I took a look at the Utilities and – again – I see a long term SELL Utilities hitting right now. So, again, folks I’m a pure play pattern recognition investor. ZERO fundamentals. A lot of times the PATTERNS work and sometimes they don’t … probability is in my favor.

for your purview, the DJ Utilities Index and the XLU. Also, threw in a chart showing the 30 year long bond overlaid on the DJ Utilities for what it’s worth. look at the divergence over the past year or so … hmmmm.